RIYADH: Raydan Food Co. has been given the go-ahead from Saudi Arabia’s market’s watchdog to reduce its capital by 53 percent.
The company is cutting its capital from SR338 million ($90 million) to SR158 million, according to a bourse filing, and has now received approval from the Capital Market Authority.
This reduction plan was made in order to restructure the company’s capital structure in order to recover losses.
Raydan Food reported earlier that its accumulated losses reached SR179 million in the first half of the year, representing 53 percent of its share capital.
This approval is subject to the approval of the company’s shareholders and completion of the necessary procedures under applicable regulations, as stated in the statement.
